Dynamics Linkages among Money, Output, Interest Rate and Price: The Case in Malaysia
This paper aims to examine the factors of monetary policy transmission that affecting output and inflation variability in Malaysia. By using quarterly data from 1980 to 2008, the results suggest that money is a lead output indicator and is also essential to curb inflation and maintain high growth...
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| Format: | Article |
| Language: | English |
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Canadian Center of Science and Education
2011
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| Online Access: | http://ir.unimas.my/id/eprint/9953/ http://ir.unimas.my/id/eprint/9953/1/Dynamics%20linkages%20among%20Money%2C%20Output%2C%20Interest%20Rate%20%28abstract%29.pdf |
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| author | Ooi, Ai-Yee Brahmana, Rayenda Khresna |
| author_facet | Ooi, Ai-Yee Brahmana, Rayenda Khresna |
| author_sort | Ooi, Ai-Yee |
| building | UNIMAS Institutional Repository |
| collection | Online Access |
| description | This paper aims to examine the factors of monetary policy transmission that affecting output and inflation variability
in Malaysia. By using quarterly data from 1980 to 2008, the results suggest that money is a lead output indicator and
is also essential to curb inflation and maintain high growth rate in GDP. Interest rate is found as another important
intermediate target in the monetary policy transmission mechanism in affecting output variability. The absence of
causality from real GDP to price suggests that the excess of aggregates demand generated by increase in real GDP is
absorbed by growth in aggregate supply. |
| first_indexed | 2025-11-15T06:27:26Z |
| format | Article |
| id | unimas-9953 |
| institution | Universiti Malaysia Sarawak |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T06:27:26Z |
| publishDate | 2011 |
| publisher | Canadian Center of Science and Education |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | unimas-99532015-12-07T07:02:55Z http://ir.unimas.my/id/eprint/9953/ Dynamics Linkages among Money, Output, Interest Rate and Price: The Case in Malaysia Ooi, Ai-Yee Brahmana, Rayenda Khresna HB Economic Theory This paper aims to examine the factors of monetary policy transmission that affecting output and inflation variability in Malaysia. By using quarterly data from 1980 to 2008, the results suggest that money is a lead output indicator and is also essential to curb inflation and maintain high growth rate in GDP. Interest rate is found as another important intermediate target in the monetary policy transmission mechanism in affecting output variability. The absence of causality from real GDP to price suggests that the excess of aggregates demand generated by increase in real GDP is absorbed by growth in aggregate supply. Canadian Center of Science and Education 2011 Article NonPeerReviewed text en http://ir.unimas.my/id/eprint/9953/1/Dynamics%20linkages%20among%20Money%2C%20Output%2C%20Interest%20Rate%20%28abstract%29.pdf Ooi, Ai-Yee and Brahmana, Rayenda Khresna (2011) Dynamics Linkages among Money, Output, Interest Rate and Price: The Case in Malaysia. International Business Research, 4 (1). ISSN 1913-9012 http://www.researchgate.net/publication/49595069 DOI: 10.5539/ibr.v4n1p145 |
| spellingShingle | HB Economic Theory Ooi, Ai-Yee Brahmana, Rayenda Khresna Dynamics Linkages among Money, Output, Interest Rate and Price: The Case in Malaysia |
| title | Dynamics Linkages among Money, Output, Interest Rate and Price:
The Case in Malaysia |
| title_full | Dynamics Linkages among Money, Output, Interest Rate and Price:
The Case in Malaysia |
| title_fullStr | Dynamics Linkages among Money, Output, Interest Rate and Price:
The Case in Malaysia |
| title_full_unstemmed | Dynamics Linkages among Money, Output, Interest Rate and Price:
The Case in Malaysia |
| title_short | Dynamics Linkages among Money, Output, Interest Rate and Price:
The Case in Malaysia |
| title_sort | dynamics linkages among money, output, interest rate and price:
the case in malaysia |
| topic | HB Economic Theory |
| url | http://ir.unimas.my/id/eprint/9953/ http://ir.unimas.my/id/eprint/9953/ http://ir.unimas.my/id/eprint/9953/ http://ir.unimas.my/id/eprint/9953/1/Dynamics%20linkages%20among%20Money%2C%20Output%2C%20Interest%20Rate%20%28abstract%29.pdf |